(1) If, after giving notice and a hearing conducted pursuant to Title 63G, Chapter 4, Administrative Procedures Act, the commissioner finds by a preponderance of the evidence that a person licensed under Title 31A, Insurance Code, has committed a fraudulent insurance act, the commissioner may suspend or revoke the license issued under Title 31A, Insurance Code.

Ask an insurance law question, get an answer ASAP!
Click here to chat with a lawyer about your rights.

Terms Used In Utah Code 31A-31-106

  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Insurance: includes :
              (96)(b)(i) a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;
              (96)(b)(ii) a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and
              (96)(b)(iii) a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301
  • License: includes a certificate of authority issued to an insurer. See Utah Code 31A-1-301
  • Person: means an individual, firm, company, corporation, association, limited liability company, partnership, organization, society, business trust, service provider, or any other legal entity. See Utah Code 31A-31-102
  • Service provider: means :
         (7)(a) an individual licensed to practice law;
         (7)(b) an individual licensed or certified by the state under:
              (7)(b)(i) this title;
              (7)(b)(iii) Title 58, Occupations and Professions; or
         (7)(c) an individual licensed in another jurisdiction in a manner similar to a license described in Subsection (7)(a) or (b);
         (7)(d) an individual practicing any nonmedical treatment rendered in accordance with a recognized religious method of healing; or
         (7)(e) a hospital, health care facility, or person whose services are compensated directly or indirectly by insurance. See Utah Code 31A-31-102
(2) If the appropriate licensing authority finds by a preponderance of the evidence that a service provider violated Section 31A-31-103, the service provider is subject to revocation or suspension of the service provider’s license.
(3) The commissioner may notify the appropriate licensing authority of conduct by a service provider that the commissioner believes may constitute a fraudulent insurance act.